The oil and gas firm confirmed all ten 10MW electrolysers from US-based Plug Power had been installed at its over 220,000 barrel per day refinery in Sines.

Once online, the electrolysers will produce up to 15,000 tonnes of green hydrogen annually, to replace around 20% of the facility’s grey hydrogen to reduce greenhouse gas emissions by approximately 110,000 tonnes annually.

Galp’s head of industrial activities, Ronald Doesburg, said the project was a “fundamental step” towards building a “new generation of low-carbon fuels” that will decarbonise hard-to-electrify industries.

Plug Power said the electrolyser system was expected to be commissioned in the “coming months.”

Oil and gas players are under pressure to double down on their climate commitments, not just socially, but also economically. With an increasing carbon price under the EU’s emissions trading scheme (ETS).

A 2025 Wood Mackenzie report suggested European refiners were set to require around 0.5 million tonnes of green hydrogen annually by 2030 to meet EU regulations.

Plug has said the Sines project underscored why Europe remained one of the electrolyser maker’s “most important strategic markets.”

The announcement comes just weeks after Galp announced it was exploring combining its downstream portfolio with Spanish energy major Moeve, including refining, green molecules, low-carbon fuels, and fuel retail.

Both firms among the European refinery players looking to build green hydrogen capacity.

Moeve has also moved to start constructing the first phase of its 2GW green hydrogen hub, spread across two sites in Huelva and Cádiz, where it is exploring e-fuel production.